How Is Blockchain Technology Disrupting The Financial Services Industry?

Global blockchain technology market size will be worth over $25 Bn by 2025

Financial institutions worldwide are witnessing a rising number of scams

Walmart recently launched the world’s largest blockchain-based freight-and-payment network

Since the concept was introduced more than a decade ago, blockchain technology has evolved rapidly over the years. From retail and banking to healthcare and defense, the technology is gradually making its way into a range of industry verticals and is anticipated to transform the way data and processes are shared and handled.

An increasing number of businesses and organizations are exploring ways to incorporate the technology to conduct business and transactions in an efficient and reliable manner and eliminate the risk of frauds. The technology is poised to witness surging adoption among startups in the near future. Global Market Insights, Inc., estimates that global blockchain technology market size will be worth over $25 Bn by 2025.

Prominent Applications In BFSI

Several banks and financial service providers are experimenting with blockchain for applications such as money transfers and record-keeping, among other back-end functions. Blockchain applications transform paper-intensive international trade finance processes into an electronic decentralized ledger that provides all concerned entities the ability to securely access a single source of information.

Financial institutions worldwide are witnessing a rising number of scams. Fraudsters are bypassing bank controls and manipulating customers into making payments to them. In fact, according to the Global Banking Fraud Survey by KPMG, more than 50% of survey respondents around the world reported a rise in both total external fraud value and volume.

Blockchain plays a critical role in fraud reduction. The technology facilitates the use of smart contracts to support the storage of any type of digital information. Moreover, implementation of blockchain in digital payments could…

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